The Real Deal August 29 2013
August 29, 2013 http://therealdeal.com/blog/2013/08/29/co-ops-act-to-compete-with-condos/
Co-ops act to compete with condos Boards revamp image, allow buying through LLCs
From left: River House (Image via CityRealty) and 860 and 870 United Nations Plaza In a bid to keep up with the frenzied demand for condominiums, co-ops are changing some of their notoriously stuffy ways, streamlining sales policies and revamping their images to attract younger buyers. Some co-ops are even allowing privacy-obsessed buyers to buy units in the name of trusts or limited liability companies, an option that is popular with many condo buyers. And others are making an effort to speed up application times, and have even hired public relations consultants to attract buyers. Some of the city’s most storied co-op buildings are part of this trend, including River House, on the East River, and the twin 38-story towers at 860 and 870 United Nations Plaza. “Co-ops have to look at what they are doing,” Donna Olshan, a luxury broker and principal at Olshan Realty, told the Wall Street Journal. “The young audience out there today doesn’t care about the snob factor. If they are spending a lot of money they don’t want a co-op board breathing down their back.” In the past, a prospective buyer who claimed to have, for example, $400 million in assets would have to provide proof of the entire wealth before getting into some co-op buildings, according to superbroker Dolly Lenz, who recently left Douglas Elliman to start her own firm, as The Real Deal reported. But now, the same buyer might only have to prove $50 million of those assets, Lenz told the newspaper. [WSJ] – Hiten Samtani
Co-ops act to compete with condos Boards revamp image, allow buying through LLCs
From left: River House (Image via CityRealty) and 860 and 870 United Nations Plaza In a bid to keep up with the frenzied demand for condominiums, co-ops are changing some of their notoriously stuffy ways, streamlining sales policies and revamping their images to attract younger buyers. Some co-ops are even allowing privacy-obsessed buyers to buy units in the name of trusts or limited liability companies, an option that is popular with many condo buyers. And others are making an effort to speed up application times, and have even hired public relations consultants to attract buyers. Some of the city’s most storied co-op buildings are part of this trend, including River House, on the East River, and the twin 38-story towers at 860 and 870 United Nations Plaza. “Co-ops have to look at what they are doing,” Donna Olshan, a luxury broker and principal at Olshan Realty, told the Wall Street Journal. “The young audience out there today doesn’t care about the snob factor. If they are spending a lot of money they don’t want a co-op board breathing down their back.” In the past, a prospective buyer who claimed to have, for example, $400 million in assets would have to provide proof of the entire wealth before getting into some co-op buildings, according to superbroker Dolly Lenz, who recently left Douglas Elliman to start her own firm, as The Real Deal reported. But now, the same buyer might only have to prove $50 million of those assets, Lenz told the newspaper. [WSJ] – Hiten Samtani
